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Sharpe Company makes organic salsa in two production departments, Cooking and Bottling. Direct materials costs are added at the beginning of each process, and conversion

Sharpe Company makes organic salsa in two production departments, Cooking and Bottling. Direct materials costs are added at the beginning of each process, and conversion costs are added evenly throughout each process. The company reports the following for a recent month.

Cooking Bottling
Beginning work in process inventory $ 0 $ 7,100
Activity during the month
Direct materials $ 19,600 $ 9,800
Direct labor 13,600 8,400
Overhead applied 16,600 10,100

Costs transferred from Cooking to Bottling $ 43,600
Costs transferred from Bottling to finished goods 68,600

1. Prepare journal entries to record (a) direct materials used, (b) direct labor, and (c) overhead applied. 2. Prepare journal entries to record the costs transferred from (a) Cooking to Bottling and (b) Bottling to Finished Goods. 3. Use T-accounts to compute (a) the ending balance of Work in Process InventoryCooking and (b) the ending balance of Work in Process InventoryBottling.

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